April 27, 2026

Which Hawaii Cities Have Lowest Tax Rates for Retirees

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Honolulu (KHON2) – In a recent study by SmartAsset, Nanakuli, Oahu was rated the most financially favorable for retirees in Hawaii.

The study analyzed sales, property, income, fuel and Social Security tax data, based on an annual income of $50,000.

While income tax is the same across the state; property, sales and fuel tax played a big factor in the rankings.

Here’s the breakdown based on an annual income of $50,000:

Rank City Income Tax Paid Property Tax Rate Sales Tax Paid Fuel Tax Paid Social Security Taxed? Ranking Index
1 Nanakuli, HI $6,035 0.11% $616 $172 Not Taxed 41.40
2 Hawaiian Beaches, HI $6,035 0.23% $616 $153 Not Taxed 40.50
3 Makaha, HI $6,035 0.30% $616 $132 Not Taxed 40.08
4 Kahului, HI $6,035 0.16% $616 $214 Not Taxed 40.00
5 Hawaiian Paradise Park, HI $6,035 0.25% $616 $164 Not Taxed 39.98
6 Wailea, HI $6,035 0.24% $616 $185 Not Taxed 39.76
7 Wailuku, HI $6,035 0.16% $616 $230 Not Taxed 39.72
8 Maili, HI $6,035 0.27% $616 $171 Not Taxed 39.63
9 Waianae, HI $6,035 0.19% $692 $152 Not Taxed 39.45
10 Laie, HI $6,035 0.30% $692 $97 Not Taxed 39.36

You can find more details on the study results and methodology, as well as an interactive map via the SmartAsset Website

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